Our outstanding stock incentive awards have been granted under the 2019 Stock Incentive Plan, as amended and restated (the “2019 Plan”). As of June 30, 2026, we had 2.9 million shares of common stock available for future grants under the 2019 Plan.

A summary of our share-based compensation expense, net of forfeitures, by award type follows ($ in thousands):


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2026		2025		2026		2025
RSAs and RSUs	$	1,581	$	351	$	2,159	$	575
Stock options	779		720		2,441		3,054
Total share-based compensation expense	$	2,360	$	1,071	$	4,600	$	3,629

As of June 30, 2026, we had unrecognized share-based compensation expense of $9.6 million that is expected to be recognized over the following years: $3.5 million in the remainder of 2026; $3.9 million in 2027; $2.0 million in 2028; $0.2 million in 2029; and less than $0.1 million in 2030.

Our RSAs are service-based awards that ratably vest on the anniversary of the respective grant dates over periods ranging from one year to five years. The holders of RSAs have a non-forfeitable right to participate in our distributions of dividends or dividend equivalents during the vesting periods. RSAs are subject to a one-year holding period upon vesting.

A summary of the activity related to our RSAs for the six months ended June 30, 2026 follows:


		Weighted
		Average
		Grant Date
	Number of	Fair Value
	Awards	Per Share
Unvested RSAs at the beginning of the period	54,100	$	64.29
Granted	43,045	85.29
Vested	(13,100)	66.31

Unvested RSAs at the end of the period	84,045	77.20

Our RSUs are market-based awards, which we grant to our executive officers, that vest in their entirety at the end of a three-year period, subject to the achievement of certain performance levels measuring our total stockholder return compared to certain pre-defined peer and industry groups. The number of shares of common stock issued can range up to 200.0% of the RSUs that vest. RSUs are subject to a one-year holding period upon vesting.

The following assumptions were used to estimate the fair value of our RSUs granted during the six months ended June 30, 2026:


Risk-free interest rate	3.60	%
Expected volatility	21.3	%
Expected service period	2.8 years

A summary of the activity related to our RSUs for the six months ended June 30, 2026 follows:


		Weighted
		Average
		Grant Date
	Number of	Fair Value
	Units	Per Share
Unvested RSUs at the beginning of the period	—	$	—
Granted	33,133	106.54


Unvested RSUs at the end of the period	33,133	106.54

The following assumptions were used to estimate the fair value of our stock options granted during the six months ended June 30, 2026:


Risk-free interest rate			3.59%
Expected volatility			21.7%
Dividend yield			4.6%
Expected lives			3.0 years

A summary of the activity related to our stock options for the six months ended June 30, 2026 follows:

Weighted

Average

Exercise

Remaining

Number of

Price

Contractual

Options

Per Share

Life

Outstanding stock options at the beginning of the period

1,124,499

66.39

Granted

378,500

84.77

Exercised

(762,819)

63.50

Outstanding stock options at the end of the period

740,180

78.78

4.2 years

Exercisable stock options at the end of the period

330,489

76.74

4.0 years

During the six months ended June 30, 2026, the weighted average fair value of options granted was $10.09 per share and the aggregate intrinsic value of stock options exercised was $15.6 million. As of June 30, 2026, the aggregate intrinsic values of stock options outstanding and exercisable were $1.6 million and $1.0 million, respectively.